ETF Education Report: Franklin Massachusetts Municipal Income ETF (FTMA)

What this ETF is trying to do

The Franklin Massachusetts Municipal Income ETF (FTMA) is an exchange-traded fund. While the specific investment goals are not listed in the provided data, the name suggests it focuses on municipal income, which often involves bonds issued by local governments.

What the numbers show

As of October 6, 2026, the current price of one share is $8.51.

When looking at how the fund has performed so far this year (Year-to-Date), it is important to look at two different numbers:

• YTD Price Return: This measures only the change in the share price. The price return for this year is approximately -5.55%.

• YTD Total Return: This measures the overall return, which includes both price changes and distributions. The total return for this year is approximately -2.98%.

Because the total return (-2.98%) is higher than the price return (-5.55%), it shows that the distributions helped offset some of the share-price decline.

Income and distribution explanation

Some investors look at ETFs to receive regular cash payments, known as distributions.

• Distribution Yield: This ETF has a distribution yield of approximately 3.39%. This number describes the cash distributions relative to the current share price.

• Frequency: The fund usually pays out monthly. In the last 12 months, there were 11 distributions.

• Trailing Distributions: The amount paid out over the last year was approximately $0.29 per share.

It is important to remember that a high distribution yield does not guarantee that an investor will earn that same percentage as a total return.

NAV erosion explanation

"NAV erosion" is a term used to describe a situation where the value of the underlying assets in the fund decreases. While a falling share price can sometimes be related to this, a declining market price does not automatically prove that the Net Asset Value (NAV) has declined.

For this ETF, there is no severe erosion-risk flag present. The data regarding the erosion score was withheld due to insufficient verified price history.

Pros

• The fund provides regular distributions, which usually occur on a monthly basis.

• The total return is higher than the price return, meaning distributions are providing some value back to the fund.

Cons

• The share price has seen a decline so far this year (a YTD price return of -5.55%).

• The total return for the year is currently negative.

Beginner takeaway

When looking at an ETF like FTMA, it is helpful to distinguish between the price return (how much the share price moves) and the total return (the price move plus any cash paid out). Even if a share price goes down, the distributions can help improve the total return. However, high yields alone do not guarantee that an investment will grow in value.